Astrion is a rapidly growing mid-tier GOVCON prime contractor with a strong legacy of experience built from its strategic mergers and acquisitions. The company is focused on innovation, aiming to develop solutions for its clients in the areas of cybersecurity, digital solutions, mission support and systems engineering. The company employs over 2,800 employees located in 36 states, operating mainly from Centers of Excellence in Washington DC, Huntsville, AL, and Burlington, MA.
The M&A History Forming Astrion
Figure 1 – Astrion’s merger and acquisition history is expansive in its relatively short history
Astrion was formed in 2022 under private equity firm Brightstar Capital Partners’ merger of Oasis Systems and Engineering, Research and Consulting (ERC) to serve the U.S. Government’s Civilian, Defense, and Space communities. This combined each organizations’ expertise in aviation, space, defense, cybersecurity, agile software development, mission support, modeling and simulation, testing and evaluation, and systems engineering.
Like Astrion, Oasis Systems was formed out of a series of acquisitions:
- In November 2010, Oasis was acquired by GF Fund, a private investment firm based in New York.
- In November 2015, Oasis completed the acquisition of MAR Incorporated, founded in 1971 with expertise in systems engineering and integration, IT/cyber security, facilities management, and intelligence and specials programs for the U.S. Navy and other federal agencies. The acquisition of MAR expanded Oasis to over 20 locations across the U.S. and focused on Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance (C4ISR) programs, IT and cyber capability, and systems engineering and marine operations in support of warfighters across the globe.
- In April 2017, Oasis acquired Human Solutions Incorporated (HSI), a technical services company providing full lifecycle consulting in systems engineering, enterprise architecture, human factors, user interface design, organizational development, and safety.
In September 2024, Astrion completed its acquisition of Axient, a provider of specialized engineering and solutions. It is a systems integrator in defense and civil missions from aerospace to cyberspace with multi-domain test and analysis, mission engineering and operations expertise. Axient is also a result of M&A activity:
- In September 2020, QuantiTech, a portfolio company of Sagewind Capital, acquired Dynamic Concepts, Inc. (DCI), a provider of high-end engineering and software services for human spaceflight.
- In January 2021, QuantiTech acquired Systems Engineering Group (SEG), which primarily supported the Naval Surface Warfare Center, Missile Defense Agency, and Office of Naval Intelligence by providing advanced, physics-based threat modeling, engineering, and analytics services for weapons and missile systems development, simulation, testing, and analysis.
- Only a month later, QuantiTech was then merged with Millenium Engineering and Integration (MEI) and rebranded as Axient, increasing the scale and depth of capabilities in the missile defense, space and intel markets.
Astrion recently announced its refreshed leadership team, which is an amalgamation of talent from these acquisitions, plus a few new hires. Most demonstrate experience with core Astrion customers. Select members of this team includes:
- Ronald “Fog” Hahn, Chief Growth Officer (CGO), drove business development as CGO at CSA and as an EVP, Strategic Growth Officer with Amentum, and has 20 years of experience with the U.S. Marine Corps.
- Dan Benjamin, Executive Vice President and General Manager, Space. He previously led Axient’s National Security and Space Systems Segment.
- Jeff Wehner, Executive Vice President and General Manager, Civilian. He was previously Vice President of the Civilian market at LMI and Senior Director of Corporate Growth at GDIT.
- Larry Floor, Executive Vice President and General Manager for Army, Navy, and Missile Defense Programs. He is the former Executive Vice President of Axient’s Defense Systems Segment.
- Lauren Kilcoyne, Executive Vice President and General Manager, Air Force. Until recently, she led the Navy Division of Astrion. She previously led the Civilian Business Unit at Empower AI.
- Sharon Hays, Ph.D., Chief Innovation Officer, will focus on building differentiated capabilities to support customer’s current and future requirements. Hayshas experience including roles of Chief Research Officer at NobleReach and Chief Technology Officer for LMI.
A Defense and Space-Focused Portfolio
Building on a legacy of defense and space market businesses, Astrion M&A enables it to cover down very consistently across the defense and space markets.
Astrion’s Federal Customer Portfolio (FY2019-FY2023)
Astrion’s customers are largely comprised of U.S. Department of Defense agencies, in addition to aviation and civil space customers (i.e., the Federal Aviation Administration and National Aeronautics and Space Administration). Astrion’s recent wins indicate that this presence will likely continue. Astrion’s major programs include:
- U.S. Department of the Air Force, Air Force Materiel Command (AFMC), Test Operations and Sustainment II (TOS II) – In March 2024, Beyond New Horizons, LLC (BNH), a joint venture (JV) between Astrion and Fluor, was awarded the twelve-year, $3.7 billion TOS II contract. BNH conducts test operations, technology development, equipment and facility sustainment, and capital improvements to ensure the continuity of the Arnold Engineering Development Complex (AEDC) ground test mission. This was a significant takeaway win from a Bechtel-led joint venture with National Aerospace Solutions, originally awarded in 2015. CEO Dave Zolet noted in an interview that Astrion intends to compete with larger competitors by bringing peer companies in on JVs.
- U.S. Department of the Army, Redstone Test Center Engineering and Support Services (RTES) –In March 2024, Astrion (via legacy ERC) was awarded a five-year, $910 million contract to provide comprehensive support across missile, aviation, and associated technologies and to ensure safe and effective combat weapon system capabilities.
- U.S. Department of the Air Force, 96 Cyber Test Group, Technical and Management Advisory Services (TMAS 2) – In July 2021, the U.S. Air Force’s 96 Cyber Test Group (96 CTG) awarded legacy Oasis Systems a 14-year, $543 million contract to provide expertise in cyber systems testing to the group’s intelligence, command, control, communications, surveillance and reconnaissance efforts.
- National Aeronautics and Space Administration (NASA), Marshall Space Flight Center (MSFC), Engineering Technicians and Trades Support (METTS III) – In December 2021, RSi-QuantiTech, a JV between Axient and Radial Solutions Inc (RSi), was awarded a five-year, $197 million contract to provide on-site engineering technicians and trade skills services to the Engineering Directorate and Facilities Management Office at MSFC, and other programs and projects requiring such services at Michoud Assembly Facility in New Orleans. ASRC Federal protested the award decision, which was denied. Upon evaluation, RSi-QuantiTech received a higher Mission Suitability Score, and priced under ASRC Federal.
- U.S. Department of the Air Force, Air Force Materiel Command (AFMC), Engineering, Professional and Administrative Support Services (EPASS) – August 2018, Oasis Systems was awarded a five year, $990 million contract to provide engineering professional and administrative support services to the Air Force Life Cycle Management Center’s Battle Management Directorate. In 2021, Oasis was also awarded a $469 million ceiling-value EPASS task order to support the Air Force Lifecycle Management Center Digital Directorate (AFLCMC/HB). This directorate supports development, upgrades, and modernization efforts in all phases of the life cycle including engineering change proposals, technology refreshes, and obsolescence upgrades.
The FedSavvy Strategies Takeaway
- Astrion was built from a series of mergers and acquisitions combining a legacy of experience in domains like aviation, space, cybersecurity, software development, and testing and evaluation.
- The company’s recent acquisition of Axient greatly enhances Astrion’s depth and future focus on space, cyber, mission support, and digital solutions.
- Astrion’s strategy of forming JVs with peer companies will likely allow the company to continue to grow and scale against its larger competitors. With the recent TOS II takeaway win as evidence, this strategy will likely be used much more.
- Considering the private equity ownership of Astrion and the significant investment in acquisitions, we should expect more similar large pursuits (such as the TOS II win) in order to realize some meaningful return on that very significant investment.
- The new leadership team at Astrion combines senior executives from across the company’s acquisitions in addition to new hires, which is likely to allow Astrion to better integrate new capabilities from these purchases.
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